Tax teams to verify stocks turnover
By Ikram Hoti
ISLAMABAD, Nov 24: Business premises of more than 10,000 traders and manufacturers with high
turnovers will be visited by the tax officials from December 4, 2000, to check whether their stocks
tally with the figures they had provided in their tax returns.
About 50 joint teams of income and sales tax staff are being formed to conduct these checks in
Karachi, Lahore, Peshawar, Quetta, Hyderabad, Multan, Gujranwala, Sukkur, Faisalabad,
Nawabshah, Bahawalpur, Rawalpindi and Islamabad.
The Central Board of Revenue officials told Dawn here on Friday that "traders and manufacturers
have been given enough time to declare their actual stocks" before the launch of physical verification.
They were given a chance to declare their turnovers through the Tax Survey forms.
The CBR officials said traders and manufacturers were given exemption from declaring their trade
stocks in the tax survey forms. However, they were required to declare the stocks in the income tax
returns for this year.
But, they were repeatedly cautioned by the tax authorities that a physical verification would be
conducted if they fail to correctly declare their stocks in tax returns.
Figures received through the survey of businessmen in 13 major cities would be matched with those
supplied through IT returns this year.
"Discrepancies detected in the figures would be listed and notices would be issued to those who
committed understatement of stocks and turnover through IT returns," a source said.
He said that Pakistan Revenue Automation Limited (PRAL) has created profiles of each business
sector in the country, on the basis of which the minimum turnover of traders would be checked.
Benchmarks have also been devised, which would be applied by the income tax officials for matching
the stocks with the turnovers declared through the IT returns.
The businessmen found under-declaring their turnovers through IT returns, would be served notices
mentioning their estimated turnovers.
If they agree to these estimated turnovers, they would simply be asked to declare their turnovers in
accordance with the official benchmark, without payment of any penalties.
Those refusing to accept having under-declared stocks would be asked to get their total stocks
physically verified. The inputs of the businessmen's taxable activities would be listed alongside their
actual stocks. Purchase of stocks over the past about six months would also be listed to confirm the
quantum of turnover.
The physical verification will be the first ever exercise at this scale.
=============================================
This is a first step to work out with the article mentioned before hand.
If only we could recieve tax from 25% of the people in the next three years.
That would be good.
Also do you think the small traders will pay taxes or not?
------------------
CROIRE A L'INCROYABLE
By Ikram Hoti
ISLAMABAD, Nov 24: Business premises of more than 10,000 traders and manufacturers with high
turnovers will be visited by the tax officials from December 4, 2000, to check whether their stocks
tally with the figures they had provided in their tax returns.
About 50 joint teams of income and sales tax staff are being formed to conduct these checks in
Karachi, Lahore, Peshawar, Quetta, Hyderabad, Multan, Gujranwala, Sukkur, Faisalabad,
Nawabshah, Bahawalpur, Rawalpindi and Islamabad.
The Central Board of Revenue officials told Dawn here on Friday that "traders and manufacturers
have been given enough time to declare their actual stocks" before the launch of physical verification.
They were given a chance to declare their turnovers through the Tax Survey forms.
The CBR officials said traders and manufacturers were given exemption from declaring their trade
stocks in the tax survey forms. However, they were required to declare the stocks in the income tax
returns for this year.
But, they were repeatedly cautioned by the tax authorities that a physical verification would be
conducted if they fail to correctly declare their stocks in tax returns.
Figures received through the survey of businessmen in 13 major cities would be matched with those
supplied through IT returns this year.
"Discrepancies detected in the figures would be listed and notices would be issued to those who
committed understatement of stocks and turnover through IT returns," a source said.
He said that Pakistan Revenue Automation Limited (PRAL) has created profiles of each business
sector in the country, on the basis of which the minimum turnover of traders would be checked.
Benchmarks have also been devised, which would be applied by the income tax officials for matching
the stocks with the turnovers declared through the IT returns.
The businessmen found under-declaring their turnovers through IT returns, would be served notices
mentioning their estimated turnovers.
If they agree to these estimated turnovers, they would simply be asked to declare their turnovers in
accordance with the official benchmark, without payment of any penalties.
Those refusing to accept having under-declared stocks would be asked to get their total stocks
physically verified. The inputs of the businessmen's taxable activities would be listed alongside their
actual stocks. Purchase of stocks over the past about six months would also be listed to confirm the
quantum of turnover.
The physical verification will be the first ever exercise at this scale.
=============================================
This is a first step to work out with the article mentioned before hand.
If only we could recieve tax from 25% of the people in the next three years.
That would be good.
Also do you think the small traders will pay taxes or not?
------------------
CROIRE A L'INCROYABLE